Robinhood ‘hulk smashes’ Q2 earnings as push to diversify revenue pays off
Robinhood rose online the expectations of former analysts on Wednesday when it was published strong financial data for the second quarter. She reported 7 % quarter of revenue to $ 989 million, overcoming the FactSet consensus of about $ 915 million. It was reported for a per share profits of 42 cents, which is a consensus of the 31 cents of analysts.
The Fintech “Hulk Smashe[d]Dan Dolph, a great analyst at Mizuho Securities, said in a short note after Robinhood published its quarterly results.
Online brokerage, which allows users to trade stocks as well as digital assets such as Bitcoin and Ethereum, has spread cheerful results despite the decrease in encrypted transaction revenues, which decreased by 36 % from the previous quarter to $ 160 million.
In the past, Robenol’s quarterly fortunes have been closely linked to prosperity and statue in retail merchants activity in the market. During the encryption madness in early 2021, for example, its revenues of encryption transactions were 41 % of the company’s line. However, amid the latest winter, that percentage decreased to 5 % in the third quarter of 2023.
When Robinhood rode up and down in the stock and encryption trading cycle, the company began building its business for not only relying on retailers’ whims. Its subscription work has expanded, launched its credit card, allowing users to trade on the margin, or get loans to buy and sell more shares. It also prompted banking services while expanding its work in Europe and the United Kingdom
“In 2021, when we went to public places, I felt to me as if we were more fragile than today,” Vlad Teenv, CEO of Robinhood, said during a profit call on Wednesday.
Although the cash resulting from transactions still consists of the majority of the company’s revenues in the second quarter, approximately 30 % of its upper lines came from parts of its interest in interest. These money that it takes from users who trade the margin as well as the benefits on the cash balances of users include.
About 10 % of its revenues in the second quarter came from Robinhood Gold, which is the subscription work in which users pay monthly fees and receive advantages such as the return on their cash reserves on the application.
“If you look at the things that we expect to be presented in the short and medium term in the long run, it is very full.” “So this may be less diverse you should see Rubnevol.”
2025-07-30 22:21:00
